lio45 Very astute take man. Check premises. Critically important.
I do think HSR from Toronto-Ottawa-Montreal still makes sense when checking premises.
Japan did HSR for roughly $40 million per km CAD.
So for 520km, we're looking at $21 billion. Reasonable.
Current GPT travel estimates:
- Air = 3,800,000/yr
- Rail = 2,200,000/yr
- Total = 6,000,000/yr
- Current air/rail ticket = $100
- $600m in annual revenue
- 35yr repayment on CapEx alone.
That's totally reasonable. It excludes financing costs and OpEx, but still, CapEx is 65% to 75% of total costs on these anyways.
So if they can hit 1.5hr travel time to make it attractive, I think the HSR makes economic sense. In fact, it's even workable for a private venture. Gov just needs to get out of the way.